Indo Tech dips on delisting offer at steep discount

The company fixes the indicative price of Rs 120 per share for delisting of equity shares, much less than Thursday?s closing price of Rs 168 on the BSE.

Indo Tech Transformers was locked in lower circuit of 5% at Rs 161 on the NSE after the company fixed an indicative price of Rs 120 per share for delisting of equity shares from both the stock exchanges. The indicative price is much less than Thursday’s closing price of Rs 168 on the BSE.

“The acquirer or promoter reserves the right to withdraw the offer if the promoters shareholding in the company would not reach a minimum of 90% of company have issued equity share capital,” the company said in a statement.

Delisting offer will open on January 23 and close on January 30, 2013, it added.

Currently, public shareholders hold 25.65% stake, while the promoter, Prolec-Ge International S DE R L DE C V holds the remaining 74.35% stake in the company.

The stock opened 162 and hit a high of Rs 172 on the NSE. A combined 50,627 shares have changed hands on the counter so far and there are pending sell orders for around 7,200 shares on the NSE.